ECONOMIC ANALYSIS OF WHEAT PRODUCTION IN RINGIM LOCAL GOVERNMENT AREA OF JIGAWA STATE, NIGERIA

Abstract

The study analyzed economics of wheat production in Ringim Local Government of Jigawa State. Primary data were collected using structured questionnaires from a randomly sampled 137 wheat farmers. The data for the study was analyzed using descriptive statistics, resource use efficiency ratio and gross margin techniques. The result showed that the farmers had an average age of 32 years, 50% of them have a household member ranging between 1 and 7 persons and about 50% of them were not formally educated. The result further revealed that majority of them (96%) had no access to credit.  The gross margin analysis result revealed an average cost of ₦142844.70; A revenue and profit of ₦391, 017 and ₦248, 172.30 was generated per hectare of wheat production respectively. The study further showed that labour and agrochemicals were over-utilized in the production of wheat, while farm size, seeds and fertilizer were under-utilized. The wheat farmers were also found to be majorly constraint by high cost of inputs (100%), inadequate capital (92.7%), and poor extension contact (72.9%). The study concludes wheat production in the study area is profitable, however the farmers are not efficiently utilizing the wheat production inputs resources. It can therefore be recommended that innovative wheat production method that will increase farmer’s efficiency shall be disseminated. In addition government shall provide inputs subsidy and improve farmer’s access to extension service.